Access Holdings Plc, one of Africa’s premier financial services groups, has launched a significant N351 billion rights issue, commencing Monday.
This milestone follows approval from the Securities and Exchange Commission (SEC), marking a pivotal moment in the group's ambitious capital raising program.
The approved rights issue offers 17,772,612,811 ordinary shares at N19.75 per share, available on the basis of one new share for every two existing shares held as of June 7, 2024. Investors have a five-week window to subscribe, with the offer closing on August 14, 2024.
Access Holdings emphasizes that this rights issue is integral to its goal of raising up to $1.5 billion. The initiative aims to strengthen the group's financial foundation, support ongoing operational needs, and fuel growth across both its banking and non-banking subsidiaries.
Bolaji Agbede, Acting Group Chief Executive Officer of Access Holdings Plc, highlighted the strategic importance of the rights issue, stating, “This marks a critical step in our growth strategy, reinforcing our financial strength and accelerating our ambition to be among Africa’s top five financial institutions by 2027. We believe this will solidify our market leadership and drive sustainable growth.”
At the recent signing ceremony, Agbede reiterated the importance of the rights issue in executing the group's 2023-2027 strategic plan. The additional capital will enable Access Holdings to seize emerging opportunities and deliver long-term value to shareholders.
Chapel Hill Denham Advisory Limited is the lead issuing house for this rights issue, with Atlas Registrars Limited serving as the registrars. Shareholders are encouraged to consult their stockbrokers for further details.
Access Holdings reaffirms its commitment to expanding its footprint and delivering exceptional value to stakeholders. Operating in 22 countries globally, with 15 in Africa, the group reported a remarkable 335 percent increase in pre-tax profit to N729 billion and an 87 percent surge in gross earnings to N2.59 trillion for the year ending December 31, 2023. A final dividend of N1.80 per share was paid to shareholders, reflecting a 28 percent increase from the previous year.
The successful execution of this rights issue is expected to further solidify Access Holdings' position as a leading financial services provider in Africa and beyond.
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